What is CBDC?
CBDC is a digital form of national currency issued and regulated by a country's central bank
CBDCs combine the benefits of digital technology with the stability and trust associated with traditional fiat currencies
Central banks are exploring CBDCs to boost financial inclusion and improve traditional payment systems
CBDCs are being introduced to provide secure and efficient digital payment options for businesses
They operate on distributed ledger technology (DLT) or blockchain, enabling secure recording and verification of transactions
There are two main types of CBDCs: Retail CBDC, accessible to the general public, and Wholesale CBDCs, restricted to financial institutions for interbank settlements.